Robi registers 5% revenue growth in Oct-Dec period

The management of the company came up with the disclosure on Thursday while announced its financial statement of the last quarter of 2016. The industry got some momentum from the third quarter of the year onwards and so as for Robi coupled with merger. With focused segmented customer centric strategy, quarter to quarter revenue growth registered 5.0% to over Tk1,400 crore amidst intense price competition, according to the statement. However, Earnings Before Interest, Taxes, Depreciation and Amortisation (EBITDA) margin is lower by 19.5 percentage point mainly for one-off merger related fees and charges. Robi’s profitability was negative impacted by accelerated depreciation resulting from nationwide network modernisation especially in Chittagong-Comilla region. “We have successfully completed the final phase of merger with Airtel in the fourth quarter of 2016. The merger will ensure enhanced value for consumers and benefit the entire industry,” said Robi Managing Director and CEO Mahtab Uddin Ahmed. He also said: “We are now creating the number one network which will deliver the widest mobile network coverage and superior mobile services experience to our subscribers.” “During the fourth quarter of 2016, we continued to bring most innovative and affordable product offers in the market. On the eve of the merger, Robi launched special ‘Merger Bonanza Offer’ where customers enjoyed 1GB internet, 0.5 paisa/sec call rate usable in 24 hour and buy one and get another SIM free. Robi also launched Airtel-Yonder Music app for the subscribers of Airtel brand,” said Mahtab Uddin. Robi’s subscriber base stands at 33.8 million (after the merger), representing 26.9% (estimated) of industry subscriber market share and claims as second largest operator in the country. In a statement, Robi said: “During the period in 2016, the total revenue grew up by 0.5% compared to the last year, data revenue had registered encouraging growth of 38.9%. Data revenue growth was propelled by significant investments in network coupled with innovative affordable data offerings to drive 3.5G and 2.5G data usage.” “Robi’s operating profit (EBITDA) margin is 27.2% in the financial year 2016. Margin is 9.2 percentage point lower than the previous year as a result of very marginal revenue growth, higher network operating expenses from continued network investments, one-off merger fees and charges. Due to its continuous investment in nationwide network modernisation, Robi is behind the expected profitability,” reads the statement.